WASHINGTON - In the first bank failure this year, New Hampshire regulators closed the $18.4 million-asset First Alliance Bank & Trust Co. in Manchester late Friday.

Salem-based Southern New Hampshire Bank & Trust Co. purchased all of the failed bank's insured deposits and most of its assets for a premium of $150,000, and will reopen First Alliance's sole office on Monday.

The FDIC estimated that the failure will cost the Bank Insurance Fund approximately $119,000. The agency resolved seven bank and thrift failures last year.

The failure marked the first time that the FDIC used the Internet to sell the assets of a failed bank. Interested parties logged onto a secure Web site and downloaded the FDIC's presentation for the bidding process. The FDIC reported that 47 parties logged onto the site.

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